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Revolutionize Your Revenue - Small Business-Friendly Credit Card Processors |
In today's fast-paced business world, small businesses need efficient and reliable credit card processing solutions to keep up with customer demands and drive growth.
With the right credit card processing company, small business owners can enjoy seamless transactions, enhanced security, and improved cash flow.
But with so many options available, how do you choose the best one for your needs?
In this guide, we’ll explore the top credit card processing companies that cater specifically to small businesses, helping you make an informed decision that will propel your business forward.
1. Helcim
Helcim stands out as a versatile and affordable option for small businesses seeking reliable credit card processing solutions.
With its transparent pricing model and absence of long-term contracts, Helcim ensures that businesses of all sizes can manage their payment processing costs effectively.
Their rates are highly competitive, featuring interchange-plus pricing, which means merchants pay the actual interchange fees plus a small markup.
This approach eliminates the uncertainty often associated with other pricing models.
Additionally, Helcim offers a comprehensive suite of tools, including invoicing, recurring billing, and an online store builder, making it a robust option for both online and brick-and-mortar businesses.
- Transparent interchange-plus pricing
- No long-term contracts
- Extensive suite of business tools
- May be overwhelming for very small businesses due to feature-rich platform
- Customer service hours are limited on weekends
2. PaymentCloud
PaymentCloud is particularly well-suited for small businesses that operate in high-risk industries.
They specialize in providing tailored solutions for businesses that may struggle to secure payment processing with more traditional providers.
PaymentCloud offers a wide range of services, including credit card processing, ACH payments, and eCheck processing, ensuring that businesses have multiple options to cater to their customers' preferences.
Their dedication to customer service is notable, with personalized support to help businesses navigate the complexities of high-risk payment processing.
- Specializes in high-risk industries
- Offers a variety of payment processing options
- Strong customer service and support
- Pricing details not readily available online
- Setup process can be lengthy for high-risk accounts
Easy Pay Direct is a top choice for small businesses that require robust payment processing capabilities along with enhanced security measures.
Known for its EPD Gateway, Easy Pay Direct offers a high level of transaction security and fraud protection, making it ideal for businesses handling a significant volume of transactions.
The company’s infrastructure is designed to handle high-risk merchants and high-ticket transactions, providing stability and peace of mind.
Their customer service is also highly rated, with a team of experts available to assist with any issues that arise.
- Excellent security and fraud protection
- Suitable for high-risk and high-volume merchants
- Highly rated customer service
- Higher cost compared to some competitors
- Limited integration options with third-party platforms
4. CDG Commerce
CDG Commerce is a well-rounded credit card processor known for its simplicity and cost-effectiveness.
Their pricing structure is transparent, with no hidden fees or long-term contracts, which makes it an attractive option for small businesses on a budget.
CDG Commerce also provides a free payment gateway and a virtual terminal, adding significant value for merchants who need flexible payment solutions.
Furthermore, their customer support is highly responsive, ensuring that businesses can quickly resolve any issues that may arise.
- Transparent pricing with no hidden fees
- Free payment gateway and virtual terminal
- Responsive customer support
- Limited advanced features compared to some competitors
- May not be suitable for very high-risk industries
eMerchantBroker excels in providing credit card processing services to high-risk merchants, offering tailored solutions that cater specifically to the unique needs of these businesses.
Their expertise in high-risk processing is unmatched, and they offer a range of services including chargeback protection and high-risk merchant accounts.
eMerchantBroker’s flexible and scalable solutions are designed to grow with your business, providing the necessary support as your transaction volume increases.
Additionally, they offer a variety of payment options, including ACH and eCheck processing.
- Specializes in high-risk merchant accounts
- Offers chargeback protection
- Flexible and scalable solutions
- Higher fees for high-risk accounts
- Setup can be complex for new businesses
6. Payline Data
Payline Data is a customer-centric credit card processing company known for its flexible pricing models and excellent customer service.
They offer both interchange-plus and flat-rate pricing, allowing businesses to choose the best option based on their transaction volume and processing needs.
Payline Data is also committed to providing a seamless experience with its easy-to-use platform and a wide range of integrations with popular business software.
Their focus on transparency and ethical practices makes them a trusted partner for small businesses.
- Flexible pricing models
- Excellent customer service
- Wide range of integrations
- Some features require additional fees
- Limited advanced reporting tools
Selecting the right credit card processor is crucial for the success of your small business. With numerous options available, each offering different features, fees, and benefits, the decision can be overwhelming.
Finding the most suitable processor ensures smooth transactions, cost savings, and satisfied customers. First things first, let's talk about the basics.
Whether you're starting a new small business or have been running one for years, having a merchant account is essential for processing payments.
A merchant account not only facilitates the handling of payments for your business but also provides a designated place for those funds to be deposited, which is crucial.
Once the money reaches your merchant account, it can be transferred to your business bank account, giving you access to it.
Although small businesses have alternatives to merchant accounts, they are not as preferable. Keep reading to understand why merchant accounts are the better option.
Simply put, merchant account providers offer merchant accounts.
These accounts enable merchants, like yourself, to process payments, directing the money into your merchant account, and eventually, into your business bank account. It's a straightforward process.
As a small business owner, it's beneficial to accept as many payment forms as possible.
Common payment methods include:
- Credit cards (EMV chip and Magstripe)
- Debit cards
- Checks and electronic checks
- ACH
- EBT
- Digital wallets (Google Pay, Apple Pay, etc.)
While there are more options, these are the most preferred. Limiting yourself to only accepting cash could result in lost business opportunities.
A suitable merchant account allows you to accept payments in a physical store and online.
Now that you understand merchant accounts, let's discuss an alternative: payment aggregators. Companies like PayPal or Stripe, which you may know, act as payment aggregators.
They process payments under one "master" merchant account. While they offer benefits such as no waiting for underwriter approval, minimal paperwork, flat fees, and no startup costs, there are significant drawbacks.
- Money transfers to your business bank account can be delayed.
- Fraud suspicions can result in holds on your funds.
- Fraud alerts can lead to account closures, affecting your ability to process payments.
- Growing businesses may face increased fees.
- Transaction limits can stunt business growth.
- Loss of valuable shopping cart data to the payment aggregator.
- Limited control over the checkout process, potentially resulting in lost sales.
A reliable merchant account provider eliminates these concerns.
- Underwriting: Merchant account providers assess the risk when approving applications because banks need to ensure they can recover funds in case of refunds.
- Accept Payments in Multiple Currencies: Ideal for businesses with global aspirations.
- Increased Sales: Customers tend to spend more when they can pay with credit cards.
- Avoiding Bad Checks: With the right provider, checks can be instantly converted to electronic checks, identifying bad checks immediately.
- Happy Customers: Offering multiple payment options keeps customers satisfied and caters to the diverse ways people manage their money, such as through mobile wallets.
Having a merchant account provides small businesses with numerous advantages, from smoother transactions to increased sales and customer satisfaction.
When opening a merchant account, it's essential to be aware of the various fees involved.
Every provider has different charges, but here’s a general overview of what you might encounter:
- Application or Account Setup Fees
- Monthly or Annual Account Fees
- Monthly Minimum Fees (if you don’t process enough transactions)
- PCI Compliance Fees
- Statement Fees
- Early Termination Fees
- Chargeback Fees
Many types of small businesses need merchant accounts. Here are a few examples:
- Catering services and restaurants
- Website design companies
- Business consulting firms
- Bookkeepers and tax preparation services
- Couriers
- Barber Shops and hairdressers
- Cleaning services
- Gyms and personal trainers
- Real estate brokers
- Graphic design firms
- Food trucks
- Gardening and landscaping services
You’ll have numerous options for merchant account providers. Here’s a checklist to help you choose the best one:
If you require a POS system, don’t let them push a payment gateway if it doesn’t suit your needs. They should prioritize your requirements.
Consider features that can help manage your business, like inventory or employee schedule management software. If it sounds beneficial, it likely is.
The payment processing industry can be confusing, so don’t hesitate to ask for clear explanations. Providers should be upfront about all fees (see the list above for what to expect).
Pro Tip - Interchange Plus is noted for its transparency.
Be wary of claims like “Transaction fees as low as 0%!” without clear details on actual fees.
Look for month-to-month agreements or contracts with minimal early termination fees.
Ensure the provider offers reliable customer service for any issues that might arise.
With the basics covered, here’s how to open your small business merchant account.
Many companies have streamlined their application process, ranging from quick online forms to over-the-phone applications. After applying, you’ll need to provide various documents, such as:
- Your business EIN number
- Details about your products or services
- Personal information (name, address, social security number, etc.)
- Your business plan
- References, if requested
- Bank statements showing your payment processing history (if available)
Once you have all the required documents, you can submit your application. Here are some tips:
Double-check all information before submitting. Adding additional information, like personal investments in your business, can be beneficial.
If you have poor credit or past bankruptcies, disclose these upfront to demonstrate honesty.
Even if a request seems odd, provide the information. There’s usually a reason behind it.
Be upfront about your expected monthly sales volume and any upcoming product launches. Update the provider if circumstances change.
After submitting, the waiting begins. Many providers can approve accounts within 72 hours or faster for low-risk applicants.
Feel free to ask about the approval timeframe, and stay busy until you receive confirmation.
Selecting the right credit card processor is crucial for the success of your small business. The right provider can help streamline your payment processes, reduce costs, and improve customer satisfaction.
- Helcim: Helcim offers transparent pricing and robust features, making it ideal for small businesses seeking reliability and affordability.
- PaymentCloud: PaymentCloud excels in high-risk merchant accounts, providing tailored solutions and excellent customer support.
- Easy Pay Direct: Easy Pay Direct is known for its high-risk processing capabilities and seamless integrations, perfect for businesses needing stability.
- CDG Commerce: CDG Commerce combines competitive rates with flexible payment solutions, making it a top choice for various small business needs.
- eMerchantBroker: eMerchantBroker specializes in high-risk merchant accounts, offering comprehensive support and customized payment solutions.
- Payline Data: Payline Data stands out with its transparent pricing, excellent customer service, and versatile payment options, catering to diverse business requirements.
Each of the companies listed above offers unique strengths tailored to different business needs.
By evaluating your specific requirements and comparing these top picks, you can choose the best credit card processor that will support your business growth and operational efficiency.
Remember, the right partner can make all the difference in achieving a seamless and effective payment processing system.